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within the State of California." Significantly, the court did
not limit relief to employees of State Farm. The court found
State Farm liable under title VII to women who were "denied
recruitment, selection and/or hire as trainee agents".
Petitioners' alternative argument is that, because there is
no evidence in the settlement agreement that State Farm intended
to award backpay or any other pay, petitioner's claim was based
upon tort or tort type rights. Although the settlement agreement
does not contain a specific reference to title VII, the
surrounding circumstances convince us that, pursuant to the
settlement agreement, the State Farm payment was made to settle a
claim under title VII. Petitioner was a claimant in a class
action suit that alleged discrimination under title VII and
sought backpay and injunctive and declaratory relief. The
District Court ruled that State Farm was liable under title VII
to all members of the class who had been discriminated against
and ordered individual hearings.
Although petitioner did not have a hearing to determine
whether she was entitled to damages, petitioner and State Farm
entered into a settlement agreement pursuant to which State Farm
paid $75,000 to petitioner for petitioner's release of a claim
"arising out of or relating to any alleged discriminatory,
improper, or unlawful act or omission of State Farm in connection
with * * * recruitment, selection, hiring, job assignment, job
transfer, training, promotion, or termination". Additionally,
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